Lebanon clears way for new central bank audit amid ‘rogue nation’ fears

Lebanon clears way for new central bank audit amid ‘rogue nation’ fears

The Lebanese Parliament has removed the major obstacle preventing a forensic audit of the country's central bank, a week after international firm Alvarez & Marsal terminated its contract.

Parliament passed a recommendation on Friday that the Banking Secrecy Law should be waived for a future forensic audit that should be carried out not just for the central bank but for all state institutions.

Alvarez & Marsal terminates its contract to audit the central bank's accounts after failing to receive vital documents

President Michel Aoun sent a letter to Parliament stressing the importance of the forensic audit to prevent Lebanon from being viewed as a "rogue or failed" country by the international community.

"Forensic audit is necessary so that Lebanon does not become a rogue or failed country in the eyes of the international community. A forensic audit is a prerequisite for the state's negotiation with the International Monetary Fund," Aoun said.

A&M declined to comment on the decision when contacted by Arabian Business but a financial expert familiar with the forensic audit negotiations said he expects that Lebanon will contact Alvarez & Marsal to resume its forensic audit mission.

Auditor Alvarez & Marsal is unable to complete its investigation because it is being denied access to